Cambridge, Massachusetts – headquartered analysts Forrester Research Inc has given the proposed Wellfleet Communications Crop-SynOptics Communications Corp merger a thumbs-up in its Network Strategy Research Brief. Its take on the deal is that both outfits will win from the fusion, with Wellfleet gaining an Asynchronous Transfer Mode technology to fill in its nonexistent strategy, and SynOptics getting the internetworking brains it never got from [router vendor] Coral, which it acquired last October. Wellfleet will also benefit from a host of decent network management tools to replace its rudimentary system, says Forrester, while SynOptics inherits a direct sales force to play an in-your-face game against Cabletron Systems Inc in Rochester, New Hampshire. That SynOptics was keen to acquire Wellfleet’s business and marketing nous is witnessed by its appointment of the company’s Gary Bowen as executive vice-president of field operations and marketing and R S Ruehle, executive vice-president of business operations in the venture. Combined, the analysts report, the two outfits have a fully-equipped arsenal for Asynchronous Transfer Mode. Forrester is also bullish about the companies’ ability to pull off a merger of equals – a phrase both have been cultivating in public pronouncements. With no one clearly on top – the senior management team is to be made up of two executives from each company, together with Paul Severino of Wellfleet as chairman, and Andrew Ludwick of SynOptics as president and chief executive – some commentators have seen the set-up as ripe for internecine power struggles and stretched development cycles. However, Forrester’s opinion is that the new company will brush these issues aside. Its reasons for this are twofold: first, it believes the task of making Asynchronous Transfer Mode work is a sufficiently common goal to overcome politics. Second, it feels the companies’ cultures are not in conflict. Both companies are roughly the same age and at the same technology crossroads, so we foresee no fireworks here, says Forrester. In terms of the competition, Forrester is convinced that vendors will have to hold all the cards – routing, Asynchronous Transfer and management – in order to win the Asynchronous Transfer Mode game.
Cisco and Cabletron should merge
Consequently, the consultancy foresees other companies will have to follow Wellfleet’s and SynOptic’s lead. It suggests Cisco itself rumoured last January to be interested in scooping up SynOptics for its Asynchronous Transfer and network management abilities – and Cabletron should merge, grabbing Fore Systems Inc in the process. Currently, says Forrester, Cisco is at least a year behind the leaders in Asynchronous Transfer development, and Cabletron is nowhere without Fore. According to Forrester, a combination of Cisco’s router market lead, Cabletron’s sales force and Fore’s Asynchronous Transfer Mode switches would be unbeatable. It also suggests IBM Corp should grasp the nettle and buy Chipcom Corp, as well as write Proteon Inc a cheque for its internetworking brain cells. Conversely, Forrester recommends 3Com Corp buy an Asynchronous Transfer Mode switch – it posits Digital Equipment Corp, General Datacomm Industries Inc or Billerica, Massachusetts-based LightStream Corp as contenders – get its network management off the architectural whiteboard, and pump-up its direct sales force. As to Newbridge Networks Inc, Forrester’s opinion is that it also needs a local area network sales force and a hub before it has a chance in the Asynchronous Transfer Mode stakes. In terms of user recommendations, Forrester suggests accounts with low investments in Cisco should switch to Wellfleet. Those with a big commitment to Cisco should play a waiting game though, says Forrester. If Cisco delivers a winning Asynchronous Transfer Mode kit in the next 12 months, users will find it easier to make the transition from SynOptics hubs to future Cisco Asynchronous Transfer Mode local net boxes than rip out their entire web of routers.
